By: Roxie Graham-Marski Posted at: 09/12/2013 11:11 AM CHEYENNE, Wyo. (ASSOCIATED PRES) - The idea of increasing the state tax on beer is drawing opposition from beer wholesalers who say it would hurt their ability to compete and hurt the pocketbooks of beer drinkers.

The Wyoming Legislature's Interim Revenue Committee is set to discuss a proposed beer tax increase on Friday in Buffalo.

The state hasn't increased the tax since it was levied at 2 cents a gallon in 1935. It's currently the lowest beer tax in the nation.

Republican Sen. Ray Peterson, of Cowley, has proposed raising the tax to help pay for substance abuse treatment.

But Pat Higgins, of Orrison Distribution Co. in Cheyenne says that any increase will be paid by beer drinkers.

In addition, neighboring states have more population and can sell beer for less.